Rob Cummings, the ABI’s assistant director and head of motor and liability, comments: “The rising cost of motor insurance shows no sign of abating. Changes to how compensation pay-outs are calculated, Insurance Premium Tax, more whiplash-style claims and rising repair bills are all piling on the pressure for cash-strapped drivers.”

As such, the ABI is urging the government to reduce the cost of car insurance by reforming how the Ogden rate is calculated – something the government has already proposed changing. It also wants to see IPT frozen and reform to how whiplash claims are handled, given a rise in such claims has been pushing up premiums.